Here’s a BlogWell presentation by GasPedal CEO Andy Sernovitz that recaps the latest FTC regulations on disclosure and social media. He teaches Word of Mouth Marketing at Northwestern, taught Entrepreneurship at the Wharton School of Business, ran a business incubator, and has started half a dozen companies. GasPedal is his consulting company, where he advises great brands like TiVo, Dell, Ralph Lauren, Sprint, and Kimberly-Clark on best practices.

Sernovitz covers the 10 magic words of proper online disclosure, his specific steps for keeping your brand safe under the latest FTC regulations, and his personal tips for staying ethical and legal. He always puts ethics and dis­clo­sure front and cen­ter when he speaks on this topic: “The num­ber one issue around ethics comes down to dis­clo­sure — being hon­est about your true iden­tity.” Dis­clo­sure is essen­tial and easy but requires edu­ca­tion: “You don’t tack on a dis­clo­sure state­ment later, you start with that. You start with ethics and that’s how you lead.” It’s not only the right thing to do, but “it’s essen­tial as a way to stay out of trou­ble. Almost every social media scan­dal involv­ing brands boils down to a lack of dis­clo­sure.The blo­gos­phere expects to know your motivations.”

Takeaways

This isn’t a debate among experts, it’s the law. The rules are clear, and the FTC will be cracking down. If you recruit people to blog about you, you’re responsible for the content.

Everything begins with ethics. Ethics is the foundation of a social media program. It’s not what you add later; it’s what everything else is built on.

Your biggest risk is a failure to properly train your team. Most companies don’t set out to launch a stealth marketing campaign. The scandals happen again and again from well-meaning employees who just don’t know it’s wrong.

The “10 magic words” for employ­ees ven­tur­ing onto the social Web: “I work for X, and this is my per­sonal opin­ion.” That dis­claimer goes a long way in help­ing to sep­a­rate offi­cial com­pany pol­icy from an employee’s per­sonal views.

Watch the presentation and follow along with the slides below:

The Social Media Busi­ness Coun­cil, of which Ser­novitz is CEO, has cre­ated a Dis­clo­sure Best Prac­tices Toolkit — a handy and essen­tial resource for any com­pany involved in social media. This is not an impe­ri­ous one-size-fits-all list of must-dos — “we’re not a stan­dards body or trade asso­ci­a­tion,” as Ser­novitz says. Instead, it’s an open source toolkit to help you build your social media policy. “Adapt it to your com­pany, teach your team, improve, and share,” he adds.